Groupon cannot catch a break, and maybe that’s because they’ve been playing too much dirty pool! After losing their COO Margo Georgiadis last week — she, probably wisely, returned to her former employer Google — and after delaying their IPO, laying off a bunch of people, and inventing weird accounting terms to hide their unprofitability, a group of 50 employees have filed a class-action suit against the company claiming they were screwed out of overtime pay.
The employees, who are all "deal vetters" based in Chicago, claim they were not paid for working over 40 hours a week. This might stem from the fact that these employees were getting paid really low base salaries while the company’s execs were taking home hundreds of millions in bonuses, all before having an IPO and without showing a profit. Documents filed in the case show that some employees signed work contracts with starting salaries of $32,000 a year, so yeah, we can see why they might be bitter. Maybe they’d accept $10 for $20 worth of overtime?
Groupon Hit With New Lawsuit [PaidContent via Gawker]
Earlier: Groupon Invents New Accounting Terms to Pretend It’s Profitable